In 2001,Intel Spent $7

question 47

Multiple Choice

In 2001,Intel spent $7.5 billion to upgrade its facilities so it could produce the Pentium 4 semiconductor chip.Each chip cost $130 to make and sold for $200 each.What is the marginal cost of a Pentium 4 chip?

• A)$70
• B)$130
• C)$200
• D)$7.5 billion divided by the number of chips produced
• E)$7.5 billion

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Definitions:

Management Layers

The levels of management within an organization, from top-level executives to middle managers and then lower-level operational managers.

Downsizing

The process of reducing an organization's workforce or operations to decrease costs and improve efficiency, often leading to layoffs.

Workforce

The collective group of individuals engaged in work or employment within an organization, region, or country, contributing to its economy.